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2015 (11) TMI 75 - HC - Income TaxAddition u/s 69B - unexplained investment - estimation of value of the property - total amount spent by the three co-owners in acquiring the farm - Held that:- As regards the probative value of the report of a DVO, the settled legal position appears to be that in the absence of there being material with the AO to come to a conclusion that the Assessee had paid extra consideration for the purchase of property over and above what is stated in the sale deed, an addition under Section 69B of the Act “solely on the basis of the report of the Valuation Officer” cannot be sustained. See Commissioner of Income Tax v. Puneet Sabharwal (2010 (12) TMI 846 - Delhi High Court ) In the facts of the present case it is plain that the seized document, which raised the suspicion of the Revenue about a possible undisclosed investment made by the Assessees, did not form the basis for the additions. The statement made by the DR before the ITAT, which was accepted by the ITAT, makes it clear that the addition was sought to be sustained only on the basis of the report of the DVO. Thus the Court finds that the additions made in the hands of the Assessees, are in the facts and circumstances of the case, unsustainable in law. The question is answered in the negative i.e. in favour of the Assessees and against the Revenue.
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